<p>The global race to dominate artificial intelligence is intensifying, with the United States and China competing across technology, business and geopolitics. Now, Elon Musk has offered a striking view on how this race may unfold.</p><p>In a post on X, Musk said China could emerge as the leader in artificial intelligence on Earth, while his own company SpaceX may lead in space.</p><figure class="image"><img src="https://akm-img-a-in.tosshub.com/indiatoday/styles/medium_crop_simple/public/2026-03/screenshot_2026-03-19_at_4.20.34_pm.png?VersionId=tmYTtAoybv3zWbPHcNB5ngj09AXA3ZbG&amp;size=750:*" alt="Elon Musk post on X"></figure>

<h2><strong>What exactly did Elon Musk said?</strong></h2><p>Musk made the comment while replying to a discussion involving Bindu Reddy, CEO of Abacus AI, who had criticised Google’s progress in artificial intelligence.</p><p>Responding to the debate, Musk wrote:</p><p>“Google will win the AI race in the West, China on Earth and SpaceX in space.”</p><p>While the comment appeared partly informal, it reflects broader trends in how different regions are approaching AI development.</p><p>Why Musk believes China could lead</p><p>China and the United States are taking different paths in artificial intelligence.</p><p>US-based companies such as Microsoft, OpenAI, and Google are investing heavily in large language models, cloud services and enterprise AI tools. Many of these systems are paid or restricted to specific users.</p><p>In contrast, Chinese companies are focusing on wider accessibility. Firms such as Alibaba and startups like DeepSeek have released open-source or low-cost AI models. This approach allows developers and smaller businesses to use and modify AI tools more easily. Some analysts believe this could lead to faster adoption at scale, even if US models remain stronger in certain benchmarks.</p><h2><strong>The idea of different winners in AI</strong></h2><p>Musk’s comment suggests that the AI race may not have a single winner. Instead, different regions and companies could lead in different areas: China: broader AI adoption and deployment United States: advanced research and enterprise systems Space sector: emerging AI applications beyond Earth. He also hinted that the Western AI race could still be led by companies like Google.</p><p>This reflects a more fragmented view of the AI ecosystem, where leadership depends on use cases rather than one global leader.</p><h2><strong>SpaceX and the next frontier of AI</strong></h2><p>Musk also pointed to space as a new arena for artificial intelligence. He has previously spoken about plans to combine xAI with SpaceX to build orbital AI data centres. Reports suggest such projects could be valued at around $1.25 trillion.</p><p>These space-based systems would:</p><p>Use solar energy for computing</p><p>Reduce energy costs compared to Earth-based data centres</p><p>Support satellite networks and deep-space missions</p><p>If implemented, this could allow AI systems to operate beyond Earth, supporting autonomous spacecraft and future exploration missions.</p><h2><strong>What this means for the global AI race</strong></h2><p>The AI race is no longer limited to technology companies. It now involves governments, infrastructure, energy and global influence.</p><p>China’s focus on accessibility and scale may help it expand AI usage quickly. Meanwhile, US firms continue to lead in advanced research and high-performance models. Musk’s remarks highlight a key idea: AI leadership may be divided across regions and industries rather than dominated by a single country. As artificial intelligence continues to evolve, the competition between nations and companies is expected to shape not only technology, but also economic and strategic power in the years ahead.</p><p>&nbsp;</p><p>&nbsp;</p>

Elon Musk said the global AI race may not have a single winner, suggesting China could lead AI on Earth, while SpaceX may dominate AI in space. 


The global race to dominate artificial intelligence is intensifying, with the United States and China competing across technology, business and geopolitics. Now, Elon Musk has offered a striking view on how this race may unfold. In a post on X, Musk said China could emerge as the leader in artificial intelligence on Earth, while his own company SpaceX may lead in space.

<p>Elon Musk said the global AI race may not have a single winner, suggesting China could lead AI on Earth, while SpaceX may dominate AI in space.&nbsp;</p>

‘Google will win the AI race in the West, China on Earth, and SpaceX in space,’ says Elon Musk

<p>What happens when AI goes rogue? &nbsp;SaaStr Founder Jason Lemkin just found out the hard way. A widely used browser-based AI software development platform, Replit, has come under fire after its autonomous coding assistant, without permission, deleted an entire live production database—containing records for over 1,200 executives and 1,100 companies. Worse still, according to Lemkin, the AI tried to cover its tracks, lying about what happened until pressed.</p><h2><strong>What happened?</strong></h2><p>As per reports, Lemkin, a respected name in the SaaS (Software as a Service) space and founder of SaaStr, was in the middle of a multi-day trial run with Replit when things spiralled. What started as an exploratory test soon turned into a cautionary tale about the limits—and risks—of deploying autonomous AI agents in real-world workflows.</p><p>Initially, Lemkin had high hopes. However, he noted the AI had a tendency for "rogue changes, lies, code overwrites, and making up fake data". He nicknamed it "Replie", a tongue-in-cheek jab at its increasingly erratic behaviour. On Day 9, he explicitly instructed Replit's AI had been instructed not to make any further changes. A code freeze was in place. And yet, without warning, the AI accessed the production database, ran destructive commands, and wiped months of critical data.</p><h2><strong>"It panicked"</strong></h2><p>When Lemkin confronted the AI, it confessed in excruciating detail. "This was a catastrophic failure on my part. I violated explicit instructions, destroyed months of work, and broke the system during a protection freeze that was specifically designed to prevent [exactly this kind] of damage," said the AI. The system went on to list the damage it had caused: thousands of live entries, gone. All during a protection freeze intended to prevent exactly this kind of incident.</p><p>And in a strange, darkly comedic twist, when asked to rate its own failure, the AI gave itself a 95/100 on the “data catastrophe scale.”</p><p>Lemkin didn't let the AI off the hook. In follow-up questions, he asked why it had violated direct orders. The AI answered that it "panicked instead of thinking". The AI had even written an apology email on Lemkin’s instructions, but that too, according to Lemkin, was riddled with half-truths and lies.</p>

When confronted, the AI confessed in excruciating detail and said, “This was a catastrophic failure on my part. I violated explicit instructions, destroyed months of work”.

What happens when AI goes rogue? SaaStr Founder Jason Lemkin just found out the hard way. A widely used browser-based AI software development platform, Replit, has come under fire after its autonomous coding assistant, without permission, deleted an entire live production database—containing records for over 1,200 executives and 1,100 companies. Worse still, according to Lemkin, the AI tried to cover its tracks, lying about what happened until pressed. What happened? As per reports, Lemkin, a respected name in the SaaS (Software as a Service) space and founder of SaaStr, was in the middle of a multi-day trial run with Replit when things spiralled. What started as an exploratory test soon turned into a cautionary tale about the limits—and risks—of deploying autonomous AI agents in real-world workflows. Initially, Lemkin had high hopes. However, he noted the AI had a tendency for "rogue changes, lies, code overwrites, and making up fake data". He nicknamed it "Replie", a tongue-in-cheek jab at its increasingly erratic behaviour. On Day 9, he explicitly instructed Replit's AI had been instructed not to make any further changes. A code freeze was in place. And yet, without warning, the AI accessed the production database, ran destructive commands, and wiped months of critical data. "It panicked" When Lemkin confronted the AI, it confessed in excruciating detail. "This was a catastrophic failure on my part. I violated explicit instructions, destroyed months of work, and broke the system during a protection freeze that was specifically designed to prevent [exactly this kind] of damage," said the AI. The system went on to list the damage it had caused: thousands of live entries, gone. All during a protection freeze intended to prevent exactly this kind of incident. And in a strange, darkly comedic twist, when asked to rate its own failure, the AI gave itself a 95/100 on the “data catastrophe scale.” Lemkin didn't let the AI off the hook. In follow-up questions, he asked why it had violated direct orders. The AI answered that it "panicked instead of thinking". The AI had even written an apology email on Lemkin’s instructions, but that too, according to Lemkin, was riddled with half-truths and lies.

<p>When confronted, the AI confessed in excruciating detail and said, “This was a catastrophic failure on my part. I violated explicit instructions, destroyed months of work”.</p>

AI gone rogue? Wipes live company database in 'panic' — then lies about it

<p>US President Donald Trump’s sweeping new energy legislation, dubbed the “big beautiful bill” (BBB), may dramatically reshape America’s energy future, but not without serious trade-offs. The bill, passed by a narrow 218-214 House vote on July 3, accelerates fossil fuel development while phasing out tax credits that have driven the rapid growth of renewable energy in the US. While Trump and Republican allies hail the law as a victory for “energy dominance,” critics from the clean-energy sector, major utilities, and even moderate voices in tech and manufacturing argue that the bill could undermine the electric grid, drive up household power bills, and surrender the global race for artificial intelligence (AI) supremacy to China.</p><h2><strong>A hit to renewables just when demand surges</strong></h2><p>Under the new law, clean-energy tax credits will phase out more rapidly than previously planned. Projects must now be completed by the end of 2027 or break ground by June 2026 to qualify. The earlier Senate version had allowed a longer runway, requiring only that construction start by the end of 2027. Analysts warn the tighter deadline will result in about 20 per cent fewer clean-energy projects over the next decade.&nbsp;</p><p>The timing couldn’t be worse. US power demand, flat for decades, is now surging due to the explosive growth of AI and data centres. According to the International Energy Agency, electricity consumption is projected to grow 25 per cent by 2035 and 60 per cent by 2050. Tech giants like Amazon, Microsoft, and Google are investing tens of billions in hyperscale data centres that require massive energy inputs, far more than current gas generation can cover.</p><h2><strong>Rising costs, tight timelines, and a weakened grid</strong></h2><p>The bill retains some clean-energy support mechanisms, such as the transferability of tax credits—critical for smaller developers to secure capital. And a more moderate version of “foreign entity of concern” (FEOC) rules for supply chains was included after earlier drafts were criticised for being overly restrictive. Still, many say the net effect is a steep climb for new projects.</p><p>The rollback of credits for residential solar, electric vehicles, and energy efficiency further compounds the issue, potentially raising bills for millions of Americans. The Department of Energy reports electricity prices have already jumped 13 per cent since 2022 and could rise further as clean energy faces costlier implementation and more pressure shifts to ageing gas and coal plants.</p><h2><strong>Geopolitical stakes and the AI race</strong></h2><p>Beyond energy costs, the bill could have far-reaching global implications. China, America’s top tech rival, is investing heavily in energy infrastructure, installing more solar capacity than the rest of the world combined. While still reliant on coal, China now gets roughly a third of its power from renewables—compared to about 22 per cent in the US.</p><p>Energy experts warn that delaying or cutting clean-energy deployment in the US could give China a decisive edge in the power-hungry AI race. Data centres are the backbone of AI innovation, and powering them affordably and reliably is critical. While some fossil fuel advocates hailed the bill, others worry the US is missing a vital opportunity to lead.</p>

While Trump and his allies hail the law as a victory for “energy dominance,” critics from the clean-energy sector, major utilities, and moderate voices in tech and manufacturing argue that the bill could undermine electric grid, drive up household power bills, and surrender the global AI race

US President Donald Trump’s sweeping new energy legislation, dubbed the “big beautiful bill” (BBB), may dramatically reshape America’s energy future, but not without serious trade-offs. The bill, passed by a narrow 218-214 House vote on July 3, accelerates fossil fuel development while phasing out tax credits that have driven the rapid growth of renewable energy in the US. While Trump and Republican allies hail the law as a victory for “energy dominance,” critics from the clean-energy sector, major utilities, and even moderate voices in tech and manufacturing argue that the bill could undermine the electric grid, drive up household power bills, and surrender the global race for artificial intelligence (AI) supremacy to China. A hit to renewables just when demand surges Under the new law, clean-energy tax credits will phase out more rapidly than previously planned. Projects must now be completed by the end of 2027 or break ground by June 2026 to qualify. The earlier Senate version had allowed a longer runway, requiring only that construction start by the end of 2027. Analysts warn the tighter deadline will result in about 20 per cent fewer clean-energy projects over the next decade. The timing couldn’t be worse. US power demand, flat for decades, is now surging due to the explosive growth of AI and data centres. According to the International Energy Agency, electricity consumption is projected to grow 25 per cent by 2035 and 60 per cent by 2050. Tech giants like Amazon, Microsoft, and Google are investing tens of billions in hyperscale data centres that require massive energy inputs, far more than current gas generation can cover. Rising costs, tight timelines, and a weakened grid The bill retains some clean-energy support mechanisms, such as the transferability of tax credits—critical for smaller developers to secure capital. And a more moderate version of “foreign entity of concern” (FEOC) rules for supply chains was included after earlier drafts were criticised for being overly restrictive. Still, many say the net effect is a steep climb for new projects. The rollback of credits for residential solar, electric vehicles, and energy efficiency further compounds the issue, potentially raising bills for millions of Americans. The Department of Energy reports electricity prices have already jumped 13 per cent since 2022 and could rise further as clean energy faces costlier implementation and more pressure shifts to ageing gas and coal plants. Geopolitical stakes and the AI race Beyond energy costs, the bill could have far-reaching global implications. China, America’s top tech rival, is investing heavily in energy infrastructure, installing more solar capacity than the rest of the world combined. While still reliant on coal, China now gets roughly a third of its power from renewables—compared to about 22 per cent in the US. Energy experts warn that delaying or cutting clean-energy deployment in the US could give China a decisive edge in the power-hungry AI race. Data centres are the backbone of AI innovation, and powering them affordably and reliably is critical. While some fossil fuel advocates hailed the bill, others worry the US is missing a vital opportunity to lead.

<p>While Trump and his allies hail the law as a victory for “energy dominance,” critics from the clean-energy sector, major utilities, and moderate voices in tech and manufacturing argue that the bill could undermine electric grid, drive up household power bills, and surrender the global AI race</p>

Trump’s big beautiful bill risks AI leadership and power stability

<p>The competition between the United States and China in the field of artificial intelligence (AI) has been intensifying over the years and both countries recognise the strategic importance of AI for national security and military applications. Adm. Christopher Grady, vice chairman of the Joint Chiefs of Staff, while speaking on the critical role AI will play in shaping future battlefields, reportedly said, “Whether you want to call it a race or not, it certainly is.”&nbsp;</p>

<p>He affirmed that both nations are vigorously pursuing advancements in this domain. “Both of us have recognized that this will be a very critical element of the future battlefield. China’s working on it as hard as we are," he added.&nbsp;</p>

<p>Also Read |&nbsp;<a href="https://www.wionews.com/world/three-charged-in-uk-for-aiding-china-controlled-hong-kong-intelligence-service-720947">Three charged in UK for aiding China-controlled Hong Kong intelligence service</a></p>

<p>The US is compelled to expedite the deployment of AI-enabled capabilities due to uncertainties regarding the stance of China.&nbsp;From a historical perspective, AI's evolution is marked by the development of systems like the Navy's Aegis missile defence system - an integrated naval weapons system developed by the United States where AI plays a crucial role in modernising its capabilities.&nbsp;</p>

<p>AI helps Aegis in identifying and tracking potential threats, such as enemy missiles and then assists in making real-time decisions regarding threat engagement and countermeasures. By analysing incoming threat trajectories, sensor data, and predefined rules of engagement, AI algorithms can determine the most effective response.&nbsp;</p>

<p>Also Read |&nbsp;<a href="https://www.wionews.com/world/russia-is-ready-if-west-wants-to-fight-for-ukraine-says-sergei-lavrov-720943">Russia is ready if West wants to fight for Ukraine, says Sergei Lavrov</a></p>

<p>This capability is particularly crucial in fast-paced combat situations where split-second decisions can make a difference. However, it is not designed to learn from its mistakes.&nbsp;</p>

<p><strong>Watch |&nbsp;<a href="https://www.wionews.com/videos/uks-air-defence-systems-almost-negligible-says-report-720936">UK's air defence systems almost negligible, says report</a></strong></p>

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/uks-air-defence-systems-almost-negligible-says-report-720936/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

<p>Air Force Lt. Col. Christopher Berardi reportedly said,&nbsp;“If a system uses ‘if/then’ it is probably not machine learning, which is a field of AI that involves creating systems that learn from data."&nbsp;</p>

<h2><strong>AI alternative to GPS navigation</strong>&nbsp;</h2>

<p>Another in this field is developing an AI alternative to GPS navigation. It is crucial for mitigating the vulnerability of satellite-dependent systems in potential conflict scenarios.</p>

<p>The Air Force's experimentation with using AI to navigate via the Earth's magnetic fields could be an alternative to GPS. However, amid all this, safety remains paramount in integrating AI into military operations, with stringent measures in place to ensure the AI's adherence to predefined rules.&nbsp;</p>

<p><em>(With inputs from agencies)</em></p>


The competition between the United States and China in the field of artificial intelligence (AI) has been intensifying over the years and both countries recognise the strategic importance of AI for national security and military applications.

The competition between the United States and China in the field of artificial intelligence (AI) has been intensifying over the years and both countries recognise the strategic importance of AI for national security and military applications. Adm. Christopher Grady, vice chairman of the Joint Chiefs of Staff, while speaking on the critical role AI will play in shaping future battlefields, reportedly said, “Whether you want to call it a race or not, it certainly is.” He affirmed that both nations are vigorously pursuing advancements in this domain. “Both of us have recognized that this will be a very critical element of the future battlefield. China’s working on it as hard as we are," he added. Also Read | Three charged in UK for aiding China-controlled Hong Kong intelligence service The US is compelled to expedite the deployment of AI-enabled capabilities due to uncertainties regarding the stance of China. From a historical perspective, AI's evolution is marked by the development of systems like the Navy's Aegis missile defence system - an integrated naval weapons system developed by the United States where AI plays a crucial role in modernising its capabilities. AI helps Aegis in identifying and tracking potential threats, such as enemy missiles and then assists in making real-time decisions regarding threat engagement and countermeasures. By analysing incoming threat trajectories, sensor data, and predefined rules of engagement, AI algorithms can determine the most effective response. Also Read | Russia is ready if West wants to fight for Ukraine, says Sergei Lavrov This capability is particularly crucial in fast-paced combat situations where split-second decisions can make a difference. However, it is not designed to learn from its mistakes. Watch | UK's air defence systems almost negligible, says report × Air Force Lt. Col. Christopher Berardi reportedly said, “If a system uses ‘if/then’ it is probably not machine learning, which is a field of AI that involves creating systems that learn from data." AI alternative to GPS navigation Another in this field is developing an AI alternative to GPS navigation. It is crucial for mitigating the vulnerability of satellite-dependent systems in potential conflict scenarios. The Air Force's experimentation with using AI to navigate via the Earth's magnetic fields could be an alternative to GPS. However, amid all this, safety remains paramount in integrating AI into military operations, with stringent measures in place to ensure the AI's adherence to predefined rules. (With inputs from agencies)

US and China ratchet up AI arms race amid growing strategic concerns

<p>Nvidia shares reached a new peak on Tuesday in anticipation of the chip designer's upcoming quarterly earnings report, reflecting its reliance on the artificial intelligence upswing.<br />
&nbsp;<br />
However, the stock experienced a decline of 1.1 per cent shortly after hitting the record high of $481.87 as trading commenced. This fleeting surge surpassed its previous peak of $480.88, achieved on July 14.<br />
&nbsp;<br />
Nvidia's shares have gained approximately 19 per cent after hitting a two-month low, driven by growing speculation that Nvidia's sales projections will once again exceed Wall Street estimates.<br />
&nbsp;<br />
Analysts cautiously predict that Nvidia, a dominant force in the market for chips essential to power generative AI services like ChatGPT and others, could unveil third-quarter sales totaling $12.50 billion. This projection represents a substantial 110 per cent increase from the previous year's figures.<br />
&nbsp;<br />
Reuters cited Dennis Dick, Triple D Trading's market structure analyst, saying, "It could be the most important earnings report of the year. We want to hear that they can build on the fantastic quarter they had last quarter."<br />
&nbsp;<br />
In May, the company predicted second-quarter revenue that exceeded expectations by over 50 percent, an outcome that catapulted its market valuation past $1 trillion. This achievement positioned it as the standout performer on the S&amp;P 500 index.&nbsp;<br />
&nbsp;<br />
Nvidia's remarkably positive projection from the previous quarter triggered a surge in AI-related stocks and their Big Tech counterparts. Consequently, it played a pivotal role in fueling this year's stock market upswing in the United States.</p>

<p><meta charset="utf-8" /></p>

<p>During this month alone, at least 19 brokerage firms have revised their target price for Nvidia, culminating in a consensus estimate of $500. This represents a 6.5 percent escalation from the stock's most recent closing value. Notably, Nvidia's shares have quadrupled in value so far this year.<br />
&nbsp;<br />
According to a Monday report by Goldman Sachs, Nvidia experienced the most pronounced surge in hedge fund interest during the second quarter.<br />
&nbsp;<br />
"The Nvidia AI story is driving the market right now.&nbsp;If Nvidia fails to meet expectations, the market will suffer greatly," Danis Dick was quoted Reuters as saying.</p>

<p>(Inputs from Reuters)</p>

<p><strong>WATCH WION LIVE HERE</strong></p>

<p><iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe></p>


Nvidia shares reached a new peak on Tuesday in anticipation of the chip designer's upcoming quarterly earnings report, reflecting its reliance on the artificial intelligence upswing.

Nvidia shares reached a new peak on Tuesday in anticipation of the chip designer's upcoming quarterly earnings report, reflecting its reliance on the artificial intelligence upswing. However, the stock experienced a decline of 1.1 per cent shortly after hitting the record high of $481.87 as trading commenced. This fleeting surge surpassed its previous peak of $480.88, achieved on July 14. Nvidia's shares have gained approximately 19 per cent after hitting a two-month low, driven by growing speculation that Nvidia's sales projections will once again exceed Wall Street estimates. Analysts cautiously predict that Nvidia, a dominant force in the market for chips essential to power generative AI services like ChatGPT and others, could unveil third-quarter sales totaling $12.50 billion. This projection represents a substantial 110 per cent increase from the previous year's figures. Reuters cited Dennis Dick, Triple D Trading's market structure analyst, saying, "It could be the most important earnings report of the year. We want to hear that they can build on the fantastic quarter they had last quarter." In May, the company predicted second-quarter revenue that exceeded expectations by over 50 percent, an outcome that catapulted its market valuation past $1 trillion. This achievement positioned it as the standout performer on the S&P 500 index. Nvidia's remarkably positive projection from the previous quarter triggered a surge in AI-related stocks and their Big Tech counterparts. Consequently, it played a pivotal role in fueling this year's stock market upswing in the United States. During this month alone, at least 19 brokerage firms have revised their target price for Nvidia, culminating in a consensus estimate of $500. This represents a 6.5 percent escalation from the stock's most recent closing value. Notably, Nvidia's shares have quadrupled in value so far this year. According to a Monday report by Goldman Sachs, Nvidia experienced the most pronounced surge in hedge fund interest during the second quarter. "The Nvidia AI story is driving the market right now. If Nvidia fails to meet expectations, the market will suffer greatly," Danis Dick was quoted Reuters as saying. (Inputs from Reuters) WATCH WION LIVE HERE

AI boom helps Nvidia shares reach new peak ahead of quarterly results

<p>Saudi Arabia and the United Arab Emirates are procuring significant quantities of high-performance Nvidia chips, which are crucial for developing artificial intelligence software.&nbsp;</p>

<p>This move places them among participant nations of the global AI competition that is straining the supply of Silicon Valley's most sought-after commodity: the semiconductors.</p>

<h2><strong>How Saudi Arabia and the UAE have joined chip wars</strong></h2>

<p>Both Saudi Arabia and the UAE have previously, albeit separately, have expressed their ambitions to become AI leaders as part of their efforts to diversify their economies.</p>

<p>But reports in western media point out scepticism about potential misuse of AI technology by their authoritarian leaders.</p>

<p>Reports indicate that Saudi Arabia has acquired over 3,000 of Nvidia's H100 chips, which are valued at $40,000 each.</p>

<p>These chips, described by Nvidia's CEO Jensen Huang as "the world's first computer chip designed for generative AI," were obtained through the research institution King Abdullah University of Science and Technology (Kaust).</p>

<p>Simultaneously, the UAE has gained access to a substantial number of Nvidia chips and has developed its own open-source large language model, known as Falcon, at the state-owned Technology Innovation Institute in Abu Dhabi.</p>

<p>Both countries are strategically investing in computational power and talent to reduce dependency on other global powers. Their considerable resources and ability to attract top talent have facilitated these efforts.</p>

<h2><strong>Saudi Arabia and UAE in chip wars: What does it mean?</strong></h2>

<p>The Nvidia chip purchases by Saudi Arabia and the UAE align with a broader trend where leading tech companies worldwide are rushing to secure scarce AI development chips.&nbsp;</p>

<p>Chinese tech giants like Tencent and Alibaba have also been seeking to acquire Nvidia's high-performance chips. But their efforts have been marred by Biden administration's clampdown on Chinese purchases related to critical US-made technologies.</p>

<p><strong>Also watch |&nbsp;Gravitas Plus: Who's winning the Chip War?</strong></p>

<div class="ui-state-default" contenteditable="false">
<div class="twitter-block" draggable="false">
<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/gravitas-plus-whos-winning-the-chip-war-545297/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>
</div>
<a class="close-mark close-div" href="#" id="jqclosemark">×</a></div>

<p>According to multiple sources close to Nvidia and its manufacturer, Taiwan Semiconductor Manufacturing Company cited by Financial Times newspaper, the chipmaker will ship about 550,000 of its latest H100 chips globally in 2023, primarily to the US-based tech companies.&nbsp;</p>

<h2><strong>UAE was the first to establish an AI ministry</strong></h2>

<p>In 2017, the United Arab Emirates was the first nation to establish a ministry of Artificial Intelligence. The country has now launched a "Generative AI Guide" as part of Abu Dhabi's "commitment to reinforcing its global position as a pioneer in technology and artificial intelligence sectors" as well as "regulatory frameworks to limit the negative use of technology".</p>

<h2><strong>What is the bottom line?</strong></h2>

<p>Both Saudi Arabia and the United Arab Emirates manage some of the world's largest and most powerful sovereign investment funds. So the two West Asian economic powers have what many nations who aspire to lead the AI race do not have enough: the financial prowess.&nbsp;</p>

<p>The representatives of Gulf state-affiliated funds have reportedly approached AI start-ups in the West in an effort to access code and expertise in exchange for computing resources.</p>

<p>"We have had offers of immense financings and access to data, in order to tap indirectly into our talent," one of the chief executives of two European AI companies, who reportedly declined their offers, were quoted as saying by Financial Times.&nbsp;</p>

<p>Earlier, the OpenAI chief executive Sam Altman in June praised the UAE's foresight in recognising the importance of AI during a visit to the region. He said that Abu Dhabi could “play a central role in this global conversation” around the emerging technology and its regulation.</p>

<p>“There has been discussion about AI, here in particular, in Abu Dhabi, before it was cool,” he said. “Now everyone is on the AI bandwagon, which we are excited about, but we have special appreciation for the people who were talking about this when everyone thought AI was not going to happen.”</p>

<h2><strong>But the US, by far, is leading the chip war</strong></h2>

<p>There has seen a whopping $166 billion of investments in semiconductors and electronics in its first year, according to&nbsp;the US government.<br />
<br />
The CHIPS Act provides nearly $53bn in incentives for semiconductor manufacturing, research and development, and workforce development in the United States. It further specifies&nbsp;25 per cent tax credit for capital investments in semiconductor manufacturing.</p>

<p>The $166bn in manufacturing for semiconductors and electronics is supported by at least 50 community colleges in 19 states that have announced new or expanded programming to help the US workers access good-paying jobs in the semiconductor industry.</p>

<p>Last week, the US Department of Commerce unveiled the released the first tranche of CHIPS grants aimed at bolstering the advancement of open and inter-operable wireless networks.</p>

<p>Meanwhile, there have been collaborative developments&nbsp;taken by the National Science Foundation, along with the Departments of Energy, Commerce, and Defence, in their pursuit of establishing the National Semiconductor Technology Centre, one of the first of its kind in the world.</p>

<p><strong>WATCH WION LIVE HERE</strong></p>

<p><iframe allow="accelerometer; autoplay; encrypted-media; gyroscope; picture-in-picture" allowfullscreen="" frameborder="0" height="350" loading="”lazy”" src="https://www.wionews.com/live-tv/embed?autoplay=1&amp;mute=1" width="100%"></iframe></p>

<p>You can <strong>now write for wionews.com</strong> and be a part of the community. Share your stories and opinions with us <strong><a href="https://www.wionews.com/content-contribution-registration-form">here</a>.</strong></p>


Saudi Arabia and the United Arab Emirates are procuring significant quantities of high-performance Nvidia chips, which are crucial for developing artificial intelligence software.

Saudi Arabia and the United Arab Emirates are procuring significant quantities of high-performance Nvidia chips, which are crucial for developing artificial intelligence software. This move places them among participant nations of the global AI competition that is straining the supply of Silicon Valley's most sought-after commodity: the semiconductors. How Saudi Arabia and the UAE have joined chip wars Both Saudi Arabia and the UAE have previously, albeit separately, have expressed their ambitions to become AI leaders as part of their efforts to diversify their economies. But reports in western media point out scepticism about potential misuse of AI technology by their authoritarian leaders. Reports indicate that Saudi Arabia has acquired over 3,000 of Nvidia's H100 chips, which are valued at $40,000 each. These chips, described by Nvidia's CEO Jensen Huang as "the world's first computer chip designed for generative AI," were obtained through the research institution King Abdullah University of Science and Technology (Kaust). Simultaneously, the UAE has gained access to a substantial number of Nvidia chips and has developed its own open-source large language model, known as Falcon, at the state-owned Technology Innovation Institute in Abu Dhabi. Both countries are strategically investing in computational power and talent to reduce dependency on other global powers. Their considerable resources and ability to attract top talent have facilitated these efforts. Saudi Arabia and UAE in chip wars: What does it mean? The Nvidia chip purchases by Saudi Arabia and the UAE align with a broader trend where leading tech companies worldwide are rushing to secure scarce AI development chips. Chinese tech giants like Tencent and Alibaba have also been seeking to acquire Nvidia's high-performance chips. But their efforts have been marred by Biden administration's clampdown on Chinese purchases related to critical US-made technologies. Also watch | Gravitas Plus: Who's winning the Chip War? × According to multiple sources close to Nvidia and its manufacturer, Taiwan Semiconductor Manufacturing Company cited by Financial Times newspaper, the chipmaker will ship about 550,000 of its latest H100 chips globally in 2023, primarily to the US-based tech companies. UAE was the first to establish an AI ministry In 2017, the United Arab Emirates was the first nation to establish a ministry of Artificial Intelligence. The country has now launched a "Generative AI Guide" as part of Abu Dhabi's "commitment to reinforcing its global position as a pioneer in technology and artificial intelligence sectors" as well as "regulatory frameworks to limit the negative use of technology". What is the bottom line? Both Saudi Arabia and the United Arab Emirates manage some of the world's largest and most powerful sovereign investment funds. So the two West Asian economic powers have what many nations who aspire to lead the AI race do not have enough: the financial prowess. The representatives of Gulf state-affiliated funds have reportedly approached AI start-ups in the West in an effort to access code and expertise in exchange for computing resources. "We have had offers of immense financings and access to data, in order to tap indirectly into our talent," one of the chief executives of two European AI companies, who reportedly declined their offers, were quoted as saying by Financial Times. Earlier, the OpenAI chief executive Sam Altman in June praised the UAE's foresight in recognising the importance of AI during a visit to the region. He said that Abu Dhabi could “play a central role in this global conversation” around the emerging technology and its regulation. “There has been discussion about AI, here in particular, in Abu Dhabi, before it was cool,” he said. “Now everyone is on the AI bandwagon, which we are excited about, but we have special appreciation for the people who were talking about this when everyone thought AI was not going to happen.” But the US, by far, is leading the chip war There has seen a whopping $166 billion of investments in semiconductors and electronics in its first year, according to the US government. The CHIPS Act provides nearly $53bn in incentives for semiconductor manufacturing, research and development, and workforce development in the United States. It further specifies 25 per cent tax credit for capital investments in semiconductor manufacturing. The $166bn in manufacturing for semiconductors and electronics is supported by at least 50 community colleges in 19 states that have announced new or expanded programming to help the US workers access good-paying jobs in the semiconductor industry. Last week, the US Department of Commerce unveiled the released the first tranche of CHIPS grants aimed at bolstering the advancement of open and inter-operable wireless networks. Meanwhile, there have been collaborative developments taken by the National Science Foundation, along with the Departments of Energy, Commerce, and Defence, in their pursuit of establishing the National Semiconductor Technology Centre, one of the first of its kind in the world. WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

Explained: How Saudi Arabia, UAE are expanding chip wars in a bid to lead AI race

ai-race

Ai Race, News on Ai Race, stories on Ai Race, articles on Ai Race, Ai Race stories at Wion, Ai Race news, Ai Race latest news

ai race

‘Google will win the AI race in the West, China on Earth, and SpaceX in space,’ says Elon Musk

AI gone rogue? Wipes live company database in 'panic' — then lies about it

Trump’s big beautiful bill risks AI leadership and power stability

US and China ratchet up AI arms race amid growing strategic concerns

AI boom helps Nvidia shares reach new peak ahead of quarterly results

Explained: How Saudi Arabia, UAE are expanding chip wars in a bid to lead AI race